Small and Medium Businesses Drive WMS Investment
Warehouse management is generally considered by all involved in Logistics and Distribution as the key to being successful in this fast moving industry. Historically the price of WMS systems with the right level of functionality for the SME market has been a major issue in the reluctance of these SME businesses moving away from the use of the Excel Spreadsheet WMS.
Warehouse Management Systems have traditionally been associated with large companies with large warehouses and Distribution Centres to manage. However, in recent years with the change in business models and customers demanding quicker delivery times, It's SME businesses who are investing in WMS technology to remain competitive. In the world of ECommerce product margins are usually very tight and the difference between profit and loss may be how efficiently you can pick and ship the customers order.
As the economy continues to improve, SMEs are investing profits into their logistics efficiency to gain a competitive advantage. Most large businesses are likely to already have some kind of WMS solution, but their longer implementation cycles coupled with expensive upgrade and software charges means that it is difficult to react quickly when new processes are needed to manage new product lines or changing fulfilment requirements.
Many smaller businesses are also outgrowing their current systems, or their abilities to operate without one, and need WMS solutions urgently. Warehouse managers need to act urgently to stop their operations from foundering, which means investing in WMS solutions is not a "nice to have" its a "must have".